1. Since at least January 1997, defendant Michael Colton, individually
and doing business as Future-Comm Trading ("Future-Comm"), has
fraudulently solicited and accepted at least $650,000 from members of the
public for participation interests in a commodity pool (the
"Future-Comm pool" or the "pool"). Through an
Internet site (www.futurecommtrading.net), brochures, and in-person sales
presentations, Colton entices prospective investors by claiming that the
Future-Comm pool has generated substantial profits, such as a 495 or 660
percent return in 1997, and that such astounding returns are accomplished
with low risk. In reality, the Future-Comm pool has suffered considerable
losses due to Colton's placement of losing trades on futures and
options contracts and his routine misappropriation of pool funds.

2. Colton also claims that Future-Comm is a commodity pool operator
("CPO") registered with the Commodity Futures Trading
Commission (the "Commission"), although neither Colton nor
Future-Comm has ever been registered with the Commission in any capacity.
Colton's activities, however, mandate that he be registered with the
Commission as either a CPO or, since he provides commodity trading advice
to members of the public, a commodity trading advisor ("CTA").
Colton also has mishandled customer funds by depositing them into his
personal account, trading customers' funds in his own name rather
than in the name of the Future-Comm pool, and failing to operate the pool
as a separate legal entity.

3. Thus, Colton has engaged, is engaging, and is about to engage in acts
and practices which violate Sections 4b(a)(i), 4h, 4m and 4o(1) of the
Commodity Exchange Act, as amended ("Act"), 7 U.S.C.
§§ 6b(a)(i), 6h, 6m, 6o(1) (1994), and Sections 4.20 and 4.30
of the Commission's regulations, 17 C.F.R. § 4.20, 4.30 (1998).

4. Accordingly, pursuant to Section 6c of the Act, 7 U.S.C. § 13a-1
(1994), the Commission brings this action to enjoin such acts and
practices, and to compel compliance with the provisions of the Act. In
addition, the Commission seeks civil penalties and disgorgement,
restitution, rescission and such other equitable relief as the Court may
deem necessary or appropriate.

5. Given Colton's pattern of fraudulent activity, unless restrained
and enjoined by this Court, he is likely to continue to engage in the
acts and practices alleged in this Complaint, as more fully described
below.

II.

JURISDICTION AND VENUE

6. The Act establishes a comprehensive system for regulating the purchase
and sale of commodity futures contracts and options. This Court has
jurisdiction over this action pursuant to Section 6c of the Act, 7 U.S.C.
§ 13a-1 (1994), which authorizes the Commission to seek injunctive
relief against any person whenever it shall appear to the Commission that
such person has engaged, is engaging, or is about to engage in any act or
practice constituting a violation of any provision of the Act or any
rule, regulation or order thereunder.

7. Venue properly lies with this Court pursuant to Section 6c of the Act,
7 U.S.C. § 13a-1(e) (1994), in that the defendant is found in,
inhabits, or transacts business in this district, and the acts and
practices in violation of the Act have occurred, are occurring, or are
about to occur within this district.

9. Defendant Colton resides at 2971 Estancia Boulevard, Dunedin, Florida
34621 and holds himself out to the public as the President and principal
of Future-Comm Trading. Colton is not, and has never been, registered
with the Commission in any capacity. The Future-Comm pool is not an
entity cognizable as a legal entity separate from Colton. Future-Comm is
not, and has never been, registered with the Commission in any capacity.

IV.

FACTS

A. Statutory Background

10. A commodity pool is defined in Commission Regulation 4.10(d)(1), 17
C.F.R. § 4.10(d)(1), as any investment trust, syndicate or similar
form of enterprise engaged in the business of investing its pooled funds
in trading commodity futures and options.

11. A CPO is defined in Section 1a(4) of the Act, 7 U.S.C. §
1(a)(4), as any person engaged in a business that is of the nature of an
investment trust, syndicate, or similar form of enterprise, and who, in
connection therewith, solicits, accepts or receives from others, funds,
securities, or property, either directly or through capital
contributions, the sale of stock or other forms of securities or
otherwise, for the purpose of trading in any commodity for future
delivery on or subject to the rules of any contract market.

12. A CTA is defined in Section 1a(5)(A) of the Act, 7 U.S.C. §
1a(5)(A) (1994), as any person who for compensation or profit, engages in
the business of advising others as to the value of or the advisability of
trading in: (i) any contract of sale of a commodity for future delivery
made or to be made on or subject to the rules of a contract market; (ii)
any commodity option authorized under Section 4c of the Act, 7 U.S.C.
§ 6c (1994); or (iii) any leverage transaction authorized under
Section 19 of the Act, 7 U.S.C. § 23 (1994); or a person who for
compensation or profit, and as part of a regular business, issues or
promulgates analyses or reports concerning any of the activities referred
to above.

B. The Commodity Pool Scheme

13. From at least January 1997 and continuing through the present, Colton
has solicited members of the public to invest in the Future-Comm pool by
posting solicitation materials on an Internet site, distributing
promotional brochures, and making in-person sales presentations. Initial
customer investments range between $1,500 and $15,000.

14. Colton claims that Future-Comm is a registered CPO which was created
in order to combine small investors into one pool that could compete with
large investors and institutional traders. Colton represents that pool
funds are traded using Future-Comm's proprietary system, which
supposedly has undergone over twenty-five years of historical testing and
thousands of hours of system programming. This trading system supposedly
generates trades with "low risk and high probability of
success." Using this proprietary trading system, Colton claims, the
Future-Comm pool buys and sells S&P 500 futures contracts and options
contracts.

15. Colton claims that by using this proprietary trading system, the
Future-Comm pool has achieved astounding profits. For instance, Colton
claims that:

(a) investors in the Future-Comm pool made a 495 percent or 660 profit
in 1997;

(b) $7,500 invested at the beginning of 1997 netted a $49,525 profit by
the end of 1997; and

(c) in 1997, Colton entered into for the pool 359 buy and sell
transactions for S&P 500 futures contracts, 287 of which resulted
in profits.

16. These claims of high profits are false and misleading. During 1997,
Colton actually lost money trading commodity futures and options.
Moreover, during 1997, Colton entered into 77 round-turn buy and sell
transactions for S&P 500 futures contracts, of which only 37 resulted
in profits. Indeed, in 1998, Colton lost more than $100,000 trading
futures and options.

17. Colton's claim that Future-Comm is a registered CPO is false.
Future-Comm is not, and has never been, registered with the Commission in
any capacity.

18. Colton instructed some potential investors to make their investment
checks payable directly to Colton. Colton then deposited these pool
participants' funds into a bank account held in his own name, not in
the name of the pool. Colton instructed other pool participants to make
their investment checks payable to Future-Comm. Although Colton deposited
some customer funds into accounts titled in the name of Future-Comm, he
routinely transferred funds between bank accounts titled in his own name
and accounts titled in the name of Future-Comm, and he paid personal
expenses from bank accounts holding funds of the Future-Comm pool.

19. After receiving funds from customers, Colton would transfer some
funds to accounts at various futures commission merchants for the purpose
of buying and selling S&P 500 futures contracts and option contracts.
All of Colton's accounts at futures commission merchants were titled
either solely in his own name or jointly in his name and that of another
person, and none were in the name of Future-Comm. Colton has transferred
pool funds from accounts at futures commission merchants into his
personal bank accounts.

20. Colton received compensation or other payments, directly or
indirectly, for operating the Future-Comm pool.

21. The total gross capital contributions Colton received for units of
participation in the Future-Comm pool exceeds $200,000.

24. Beginning in at least January 1997 and continuing through the
present, Colton violated Section 4b(a)(i) of the Act, 7 U.S.C. §
6b(a)(i) (1994), in that he cheated or defrauded or attempted to cheat or
defraud other persons by, among other things: (i) misrepresenting that
investors had achieved significant profits by investing in the
Future-Comm pool; (ii) misrepresenting or failing to disclose the risks
associated with trading commodity futures and options; (iii)
misappropriating investors' funds; and (iv) misrepresenting that
Future-Comm is a CPO registered with the Commission.

25. Colton engaged in this conduct in or in connection with orders to
make, or the making of, contracts of sale of commodities for future
delivery, made, or to be made, for or on behalf of other persons where
such contracts for future delivery were or may have been used for (a)
hedging any transaction in interstate commerce in such commodity, or the
products or byproducts thereof, or (b) determining the price basis of any
transaction in interstate commerce in such commodity, or (c) delivering
any such commodity sold, shipped, or received in interstate commerce for
the fulfillment thereof.

COUNT II

VIOLATIONS OF SECTION 4o(1) OF THE ACT:

FRAUD BY COMMODITY TRADING ADVISORS

AND COMMODITY POOL OPERATORS

26. Paragraphs 1 through 25 are re-alleged and incorporated herein.

27. Beginning in at least January 1997 and continuing through the
present, Colton, while acting as a CPO, has violated Section 4o(1)
of the Act, 7 U.S.C. § 6o(1) (1994), in that he directly or
indirectly employed or is employing a device, scheme, or artifice to
defraud investors or prospective investors, or has engaged or is engaging
in transactions, practices or a course of business which operated as a
fraud or deceit upon investors or prospective investors by using the
mails or other means or instrumentalities of interstate commerce. His
fraudulent acts include, but are not limited to: (i) misrepresenting that
investors had achieved significant profits by investing in the
Future-Comm pool; (ii) misrepresenting or failing to disclose the risks
associated with trading commodity futures and options; (iii)
misappropriating investors' funds; and (iv) misrepresenting that
Future-Comm is a CPO registered with the Commission.

28. Beginning in at least January 1997 and continuing through the
present, Colton, while acting as a CTA has violated Section 4o(1)
of the Act, 7 U.S.C. § 6o(1) (1994), in that he directly or
indirectly employed or is employing a device, scheme, or artifice to
defraud investors or prospective investors, or has engaged or is engaging
in transactions, practices or a course of business which operated as a
fraud or deceit upon investors or prospective investors by using the
mails or other means or instrumentalities of interstate commerce. His
fraudulent acts include, but are not limited to: (i) misrepresenting that
investors had achieved significant profits by investing in the
Future-Comm pool; (ii) misrepresenting or failing to disclose the risks
associated with trading commodity futures and options; (iii)
misappropriating investors' funds; and (iv) misrepresenting that
Future-Comm is a CPO registered with the Commission.

COUNT III

VIOLATIONS OF SECTION 4h OF THE ACT:

FALSE REPRESENTATIONS CONCERNING STATUS AS A

REGISTRANT UNDER THE ACT

29. Paragraphs 1 through 28 are re-alleged and incorporated herein.

30. Beginning in at least January 1997 and continuing through the
present, Colton has violated Section 4h of the Act, 7 U.S.C. § 6h,
by falsely representing that Future-Comm is a CPO registered with the
Commission.

COUNT IV

VIOLATIONS OF SECTION 4m OF THE ACT:

ACTING AS AN UNREGISTERED COMMODITY

POOL OPERATOR AND COMMODITY TRADING ADVISOR

31. Paragraphs 1 through 30 are re-alleged and incorporated herein.

32. Beginning in at least January 1997 and continuing through the
present, Colton, while not registered with the Commission as a CPO and
while not exempt from such registration, made use of the mails or other
means or instrumentality of interstate commerce by soliciting, accepting
or receiving funds from members of the public to participate in a
commodity pool formed and operated for the purpose of trading commodity
futures contracts on contract markets, all in violation of Section 4m(1)
of the Act, 7 U.S.C. § 6m(1) (1994).

33. Beginning in at least January 1997 and continuing through the
present, Colton, while not registered with the Commission as a CTA and
while not exempt from such registration, made use of the mails or other
means or instrumentality of interstate commerce by engaging in the
business for compensation or profit of advising others as to the value or
the advisability of trading in any contract of sale of a commodity for
future delivery made or to be made on or subject to the rules of a
contract markets, in all in violation of Section 4m(1) of the Act, 7
U.S.C. §6m(1) (1994).

COUNT V

VIOLATIONS OF COMMISSION REGULATION 4.20:

MISHANDLING PROPERTY BY COMMODITY POOL OPERATORS

34. Paragraphs 1 through 33 are re-alleged and incorporated herein.

35. Pursuant to Commission Regulation 4.20(a), 17 C.F.R. § 4.20(a)
(1998), a CPO must operate its pool as an entity cognizable as a legal
entity separate from that of the pool operator. Pursuant to Commission
Regulation 4.20(b), 17 C.F.R. § 4.20(b) (1998), all funds,
securities or other property received by a CPO from an existing or
prospective pool participant for the purchase of an interest in a pool
that it operates or that it intends to operate must be received in the
pool's name. Pursuant to Commission Regulation 4.20(c), 17 C.F.R.
§ 4.20(c) (1998), no CPO may commingle the property of any pool that
it operates or that it intends to operate with the property of any other
person.

37. Colton received or intended to receive funds for the pool in his own
name, and not in the pool's name, in violation of Commission
Regulation 4.20(b), 17 C.F.R. § 4.20(b) (1998).

38. Colton commingled property of the pool with his own property or the
property of others, in violation of Commission Regulation 4.20(c), 17
C.F.R. § 4.20(c) (1998).

COUNT VI

VIOLATION OF COMMISSION REGULATION 4.30:

MISHANDLING PROPERTY BY COMMODITY TRADING ADVISORS

39. Paragraphs 1 through 38 are re-alleged and incorporated herein.

40. Pursuant to Commission Regulation 4.30, 17 C.F.R. § 4.30 (1998),
a CTA may not solicit, accept or receive from an existing or prospective
client, funds in the trading advisor's name to purchase any commodity
interest of the client.

41. Colton solicited, accepted and received funds from prospective
clients in his own name, in violation of Commission Regulation 4.30, 17
C.F.R. § 4.30 (1998).

VI.

RELIEF REQUESTED

WHEREFORE, Plaintiff respectfully requests that this Court, as authorized
by Section 6c of the Act, 7 U.S.C. § 13a-1, and pursuant
to its own equitable powers, enter:

A. An order of permanent injunction enjoining Colton and all persons
insofar as they are acting in the capacity of agents, servants,
employees, successors, assigns, or attorneys of Colton, and all persons
insofar as they are acting in active concert or participation with Colton
who receive actual notice of the Order by personal service or otherwise,
from directly or indirectly:

1. Cheating or defrauding or attempting to cheat or defraud other
persons, in or in connection with any order to make, or the making of,
any contract of sale of any commodity for future delivery, made, or to be
made, for or on behalf of any other person if such contract for future
delivery is or may be used for (a) hedging any transaction in interstate
commerce in such commodity or the products or byproducts thereof, or (b)
determining the price basis of any transaction in interstate commerce in
such commodity, or (c) delivering any such commodity sold, shipped, or
received in interstate commerce for the fulfillment thereof, in violation
of Section 4b(a)(i) of the Act, 7 U.S.C. § 6b(a)(i) (1994);

2. Employing any device, scheme, or artifice to defraud any client or
participant or prospective client or participant, or engaging in any
transaction, practice, or course of business which operates as a fraud or
deceit upon any client or participant or prospective client or
participant, by use of the mails or any means or instrumentality of
interstate commerce, in violation of Section 4o(1) of the Act, 7
U.S.C. § 6o(1) (1994);

3. Falsely representing that he is registered with the Commission, in
violation of Section 4h of the Act, 7 U.S.C. § 6h (1994);

4. Making use of the mails or any means or instrumentality of interstate
commerce in connection with the business of a CPO or CTA unless
registered with the Commission as such, in violation of Section 4m of the
Act, 7 U.S.C. § 6m (1994);

5. While acting as a commodity pool operator registered or required to be
registered under the Act: (a) failing to operate any pool as an entity
cognizable as a legal entity separate from that of the pool operator, in
violation of Commission Regulation 4.20(a), 17 C.F.R. § 4.20(a)
(1998); (b) failing to receive in the pool's name all funds,
securities or other property from an existing or prospective pool
participant for the purchase of an interest or as an assessment (whether
voluntary or involuntary) on an interest in any pool that it operates or
that it intends to operate, in violation of Commission Regulation
4.20(b), 17 C.F.R. § 4.20(b) (1998); and (c) commingling the
property of any pool that it operates or that it intends to operate with
the property of any other person, in violation of Commission Regulation
4.20(c), 17 C.F.R. § 4.20(c) (1998);

6. While acting as a commodity trading advisor registered or required to
be registered under the Act, soliciting, accepting or receiving from an
existing or prospective client funds, securities or other property in the
trading advisor's name, in violation of Commission Regulation 4.30,
17 C.F.R. §4.30 (1998);

7. Engaging in any commodity related activity, including soliciting new
customers or customer funds;

B. An order requiring Colton to disgorge all benefits received from acts
or practices which constitute violations of the Act as described herein,
including pre-judgment interest;

C. An order requiring Colton to make restitution to every customer whose
funds were received or utilized by them as a result of acts and practices
which constituted violations of the Act, as described herein, including
pre-judgment interest;

D. An order requiring Colton to pay civil penalties under the Act, in an
amount of not more than the higher of $100,000 or triple his monetary
gain for each violation of the Act committed prior to November 27, 1996,
or $110,000 or triple his monetary gain for each violation of the Act
committed after that date;

E. An order requiring Colton to pay costs and fees as permitted by 28
U.S.C. §§ 1920 and 2412(a)(2) (1994); and

F. Such other equitable relief as the court may deem necessary or
appropriate under the circumstances.